crown resorts limited · 2019-10-24 · crown resorts limited - 2019 annual general meeting...

Crown Resorts Limited - 2019 Annual General Meeting Presentation

Crown Resorts Limited2019 Annual General Meeting24 October 2019

Crown Resorts Limited - 2019 Annual General Meeting Presentation 2

This chart excludes investment in Crown Aspinalls, Crown Digital, Crown’s equity accounted investments and the proposed One Queensbridge Project as well as the expected proceeds from the sale of Crown Sydney apartments.

Investment in Australian Resorts

88 78 67 62 74 10265 65

253326

103

29 2634

35 35

152 24

156271

423

605

463

24

250

0

100

200

300

400

500

600

700

800

F15 (a) F16 (a) F17 (a) F18 (a) F19 (a) F20 (f) F21 (f) F22 (f)

$m

Crown Melbourne Crown Perth Crown Sydney Crown Melbourne Licence Fee


Australian Resorts Head Count

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

F15 F16 F17 F18 F19

Employees Tenancy Contractors


Our People


Crown Resorts Limited Group Result

F19Normalised

$m

F18Normalised

$m Variance

F/(U)

F19Actual

$m

F18Actual

$mVariance

F/(U)

Crown Melbourne EBITDA 589.5 645.0 (8.6%) 615.0 586.0 4.9%

Crown Perth EBITDA 221.8 248.8 (10.8%) 244.6 221.5 10.4%

Crown Aspinalls EBITDA 6.4 12.0 (46.5%) 5.7 12.4 (54.3%)

Wagering and Online Social Gaming Operations EBITDA 26.1 26.9 (2.7%) 26.1 26.9 (2.7%)

Corporate costs (41.7) (54.4) 23.3% (41.7) (54.4) 23.3%

EBITDA 802.1 878.3 (8.7%) 849.7 792.4 7.2%

Depreciation & amortisation (273.6) (285.9) 4.3% (273.6) (285.9) 4.3%

EBIT 528.5 592.4 (10.8%) 576.1 506.5 13.7%

Net interest (10.1) (46.0) 78.0% (10.1) (46.0) 78.0%

Income tax (162.0) (170.1) 4.8% (176.4) (144.3) (22.2%)

Equity accounted investments 13.3 9.3 43.0% 13.3 9.3 43.0%

NPAT (pre non-controlling and significant items) 369.7 385.6 (4.1%) 402.9 325.5 23.8%

Non-controlling interest (1.1) 1.2 N/A (1.1) 1.2 N/A

NPAT (pre significant items) – attributable to the parent 368.6 386.8 (4.7%) 401.8 326.7 23.0%

Significant items (net of tax) – attributable to the parent – – – – 232.2 (100.0%)

Net Profit – attributable to the parent 368.6 386.8 (4.7%) 401.8 558.9 (28.1%)

5


30 Jun 19 31 Dec 18 30 Jun 18Nature of Facility $m $m $m

Bank debt 28.5 41.2 54.6

Finance lease liability and other loans 1.0 1.1 1.0

Capital market debt - EMTN 174.6 174.6 174.6

- AMTN 259.1 259.1 259.1

- Subordinated Notes1 615.4 615.2 1,003.4

Total Outstanding Debt 1,078.6 1,091.2 1,492.7

Less available cash2 (992.1) (1,098.7) (1,713.7)

Net Debt / (Net Cash) 86.5 (7.5) (221.0)

Committed un-drawn bank facilities of $200.4 million at 30 June 2019 Group’s current debt ratings (S&P/Moody’s/Fitch) BBB/Baa2/BBB

1. Net of unamortised transaction costs.

2. Available cash refers to the closing cash balance of $1,126.0 million (Dec 2018: $1,276.4 million, Jun 2018: $1,844.6 million) less working capital cash of $133.9 million (Dec 2018: $177.7 million, Jun 2018: $130.9 million). The working capital cash refers to cash held on the Company’s premises and cash held in bank accounts for day-to-day operations of the businesses.

Debt Structure


Recent Trading Update

1 July to 20 October 2019

Australian resorts main floor gaming revenue (excluding VIP program play revenue) was up 2% on the prior corresponding period (pcp)

Australian resorts non-gaming revenue was broadly flat on the pcp

Crown Melbourne’s main floor gaming revenue was up on the pcp while non-gaming revenue was down

Crown Perth’s main floor gaming revenue and non-gaming revenue have each shown growth on the pcp

VIP program play turnover at Crown’s Australian resorts decreased by 46% on the pcp, reflecting the difficult trading conditions in the international VIP market. The actual win rate experienced during the period was above theoretical

Crown’s wagering and online social gaming revenue declined 4% on the pcp, with revenue declining for both Betfair Australasia and DGN


Major Focus Areas

8

Improve the underlying performance of Crown Melbourne, Crown Perth and Crown Aspinalls

Deliver the Crown Sydney project on time and on budget

Grow and create value from Crown Digital

Support the operations of Crown’s equity accounted investments to enhance their performance

Deliver returns to shareholders

Proactively engage with relevant stakeholders, including regulators and the community

Maintain an appropriate and efficient capital structure


Crown Sydney

The structure’s main core has progressed to level 52 which equates to a height of 198m above sea level

Façade installation is progressing through level 32

Hotel guestroom and suite fit out is well advanced with the first guestrooms being completed on level 6

The podium structure and exterior glazing are substantially complete enabling interior fit out activities to progress in all areas of the podium

The project is averaging approximately 1,050 workers onsite each day


Crown’s Purpose and Values


Crown Resorts Foundation

11

10 year multi-million

dollar commitments

The Crown Resorts and Packer Family Foundations have allocated over

$83 million

300grant recipients

IN THE FIRST 5 YEARS

One-off employee nominated

grants


All information provided in this presentation is provided as at the date stated or otherwise as at the date of this presentation.

This presentation may include forward looking statements which can generally be identified by the use of forward looking terminology such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, or “anticipate”. Forward looking statements, by their nature, involve known and unknown risks, uncertainties and other factors. Many of those risks and uncertainties are matters which are beyond Crown’s control and could cause actual results, performance and achievements to differ materially from those contained in this presentation. Except as required by applicable laws and regulations, Crown does not undertake to publicly update or review any forward looking statements, whether as a result of new information or future events.

Some information which has been included in this presentation has been provided by third parties. Those third parties have consented to the inclusion of that information and accordingly, Crown does not assume responsibility for the correctness or accuracy of the information.

This presentation has not taken into account any particular investor’s investment objectives or other circumstances. Investors are encouraged to make an independent assessment of Crown.

This presentation includes certain non-IFRS financial measures which have not been subject to audit or review.

Disclaimer

crown resorts limited · 2019-10-24 · crown resorts limited - 2019 annual general meeting...

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